NEW DELHI (Reuters) – Amazon and Walmart’s Flipkart are among online retailers demanding that India scale back a proposed tax on third-party sellers on their platforms, saying the burden of compliance will hurt the fledgling industry, according to documents seen by Reuters.
FILE PHOTO – A shipment moves on a conveyor belt at an Amazon Fulfillment Centre (BLR7) on the outskirts of Bengaluru, India, September 18, 2018. REUTERS/ Abhishek N. Chinnappa
The online retail industry is braced for a possible 1% tax on each sale made by sellers on their platforms from April if the proposal is approved by parliament next month.
The move is part of a broader plan by Prime Minister Narendra Modi’s government to increase tax revenues and counter a sharp economic slowdown due to weakening consumer demand.
But the tax will hurt the country’s fledgling e-commerce sector, according to a presentation prepared by the Federation of Indian Chambers of Commerce and Industry (FICCI) for the government…
Source Reuters Tech News